I have one other issue I’d like to throw on the table. I hesitate to do it, but let me tell you some of the issues that are involved here.
ALAN GREENSPANEnhances a person’s ability to handle the more ambiguous and qualitative relationships that dominate our day-to-day financial decision-making
More Alan Greenspan Quotes
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It has been my experience that competency in mathematics, both in numerical manipulations and in understanding its conceptual foundations.
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Amateurs want to be right. Professionals want to make money.
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As long as we issue fiat currency, I see no alternative to a legal tender law.
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If we are dealing with psychology, then the thermometers one uses to measure it have an effect.
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I don’t think it’s possible for the Fed to end its easy-money policies in a trouble-free manner.
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I believe that the general growth in large [financial] institutions have occurred in the context of an underlying structure of markets in which many of the larger risks are dramatically — I should say, fully — hedged.
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…our market system depends critically on trust-trust in the word of our colleagues and trust in the word of those with whom we do business.
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And she always has so much fun doing it. We make a good team.
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Indeed, better risk management may be the only truly necessary element of success in banking.
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This is the reason that history has not dealt kindly with the aftermath of protracted periods of low risk premiums.
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The worst have failed; investors no longer fund them and are not likely to in the future.
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It is regrettably the way human nature functions, whether we like it or not. What successful economies do is keep it to a minimum.
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If we were to do that we would increase the supply of skilled workers that our schools have been unable to create and as a consequence of that we would lower the average wage of skills and reduce the degree of income inequality in this country.
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The current financial crisis in the US is likely to be judged in retrospect as the most wrenching since the end of the Second World War.
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The probability of ten consecutive heads is 0.1 percent; thus, when you have millions of coin tossers, or investors, in the end there will be thousands of very successful practitioners of coin tossing, or stock picking.
ALAN GREENSPAN